Filed Under:

How does someone commit featherbedding?

Featherbedding describes the practice where businesses hire more workers than are necessary to carry out particular tasks. Unions insist on rules against featherbedding to ensure that employees remain employed when a decrease in work or wages is imminent due to external factors, like technological changes and reduced demand. Often, these changes in technology or demand for a company's products or services will cause the company to lay off the extra, or "fluff", employees.

Unions sometimes request that featherbedding rules be added to labor contracts to protect workers from future unemployment. Featherbedding causes tensions between the management body of a company and the union because companies, eager to reduce costs, do not want to pay more than they have to, while unions seek to secure the employment of its members at all costs.

For more on this topic, read Macroeconomic Analysis and Surveying The Employment Report.

This question was answered by Chizoba Morah.

comments powered by Disqus
Trading Center